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Aker Solutions and Subsea 7 awarded Aker BP subsea contracts offshore Norway

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09 July 2021

Aker Solutions has secured a substantial (between NOK 700 million and NOK 1.2 billion) contract from Aker BP to provide a subsea production system for the Kobra East & Gekko (KEG) field development, located in the Alvheim area of the North Sea.

The scope covers a complete subsea production system including four horizontal subsea trees, three manifolds, control systems, three static subsea umbilicals, as well as associated tie-in equipment and installation work. 

Work starts immediately and will involve Aker Solutions’ facilities in Brazil, Malaysia, Norway and the UK. Final deliveries are scheduled for the first quarter of 2023.

"This award continues our long-standing collaboration with Aker BP, through the Aker BP Subsea Alliance. The partnership enables Aker Solutions to engage early in the field development process, optimizing design solutions and contributing to a positive final investment decision. We look forward to continuing our alliance with Aker BP, with a continued strong focus on safe and efficient operations while helping to reduce the carbon footprint," said Maria Peralta, executive vice president and head of Aker Solutions’ subsea business.

The development comprises the two discoveries Kobra East and Gekko. The field will be developed as a subsea tie-back of approximately eight kilometers to the Alvheim FPSO, which is located in the Norwegian part of the central North Sea near the UK border. Aker BP expects that CO2 emissions per barrel will be cut in half and oil production from the Alvheim FPSO will double when KEG comes on stream.

The award will be booked as order intake in the third quarter of 2021 in the Subsea segment.

Subsea 7 also announced the award of a sizeable (between USD 50 million and USD 150 million) contract by Aker BP for the Kobra East Gekko (KEG) field development, located in the Alvheim area of the North Sea.

The project involves a subsea tie-back of approximately 8 kilometres to the Alvheim FPSO, via the existing Kneler B subsea manifold. The contract scope includes engineering, procurement, construction and installation (EPCI) of the pipelines, spools, protection cover and tie-ins using key vessels from Subsea 7’s fleet. The production pipeline is a pipe-in-pipe design.

Project management and engineering will commence immediately at Subsea 7’s offices in Stavanger, Norway. Fabrication of the pipelines will take place at Subsea 7’s spoolbase at Vigra, Norway and offshore operations are expected to take place in 2022 and 2023.

Monica Bjørkmann, Vice President for Subsea 7 Norway said: "This award continues our long-standing collaboration with Aker BP, through the Aker BP Subsea Alliance. The partnership enables Subsea 7 to engage early in the field development process, optimising design solutions and contributing to a positive final investment decision. Subsea 7 looks forward to continuing our alliance with Aker BP for the KEG field development, with a focus on safe, efficient and reliable operations.”